Sweeney says property taxes will be a priority

Senate President of New Jersey, Stephen M. Sweeney in attendance to hear President Barack Obama delivers a statement at Rutgers University Ð Newark, Center for Law & Justice as part of his commitment to criminal justice reform, traveling to the Newark, New Jersey area to highlight efforts enabling former prisoners to return to society with education, training and good-paying jobs. He will be joined by Senator Booker and Mayor Baraka. November 2, 2015, Newark, NJ.(Photo: Bob Karp/Staff Photographer)Buy Photo

NEPTUNE – Property taxes will be among the top issues Senate President Stephen Sweeney will prioritize, the legislative leader and prospective gubernatorial candidate promised Tuesday.

Sweeney, D-Gloucester, told the Asbury Park Press editorial board that lowering the property tax burden requires good decisions about sharing services by counties, municipalities and school districts and that the state’s affordability issues are broader than property taxes.

But he said that property taxes, which rose by a statewide average of 2.4 percent last year, the fastest growth since 2011, will be a priority.

“I absolutely intend to. Look, I have never not focused on that,” Sweeney said. “But my point is you have to do a lot of these things. Look, (exempting more seniors’ income from taxation) will help seniors be here some more, too. We have to fix property taxes. There’s no argument on that.”

“Property taxes are right up there. They’re right at the top, and fixing the school funding formula or at least redistributing the aid will assist in that,” Sweeney said.

More than 14,000 New Jerseyans signed an Asbury Park Press petition calling on state lawmakers to reduce property taxes, for long the No. 1 issue in the state, according to opinion polls.

Sweeney said he’s been talking with Sen. Jennifer Beck, R-Monmouth, about a more equitable school funding plan. One change he envisions: eliminating the so-called “hold harmless” provision that protects some districts from having their aid cuts — even if enrollments decline.

The challenge in making that change is that the change costs districts funds their hometown lawmakers won’t endorse. Hoboken could be cut by $1.8 million, Phillipsburg by $4 million, Jersey City by $48 million.

“This is one of those issues that it’s going to be very hard to get 21 and 41,” Sweeney said, referring to the number of votes a bill needs to pass the Senate and Assembly, “but there’s a fairness issue. Our school funding formula worked. One of the big problems was the hold-harmless clause.”

Sweeney said discussions about taxes should also be broader than just property taxes, however, and that by exempting more retirement income from taxes and gradually eliminating the estate tax over four years, fewer retirees would leave New Jersey. That has a beneficial impact on the economy and property values, he said.

“We have people leaving because of those taxes, too,” Sweeney said.

Sweeney said that more can be done to reduce the size of government because, without it, any tax-reform proposals would merely shift the burden from one levy to another. He said, for instance, that all school districts should cover grades K-to-12.

“Restructuring the way we do government is where I really stand. We got too much government, and I stand by that,” he said.

“I just for the life of me don’t know why we have the government that we have. It’s not necessary,” Sweeney said.